PANTECH OR ALL-TECHNOLOGY STOCK IN THE OIL AND GAS SUPER BOOM TIME, CALVIN TAN RESEARCH

February 21, 2019 By Calvin Tan Smart Investment

HI GUYS,

 

I AM HAPPY TO BRING YOU PANTECH – THE SUPER STOCK OF THE OIL AND GAS BULL RUN TIME

 

PANTECH

IT IS A COMPOUND OF TWO WORDS

PAN AS IN ALL (PANORAMIC- ALL CLEAR SWEEPING WIDE VIEW) (PANEASIA : CURE ALL REMEDY)

TECH AS IN TECHNOLOGY

 

SO PANTECH MEANS “ALL TECHNOLOGY” COMPANY

 

INDEED AS WE SHALL SEE

 

LET’S TAKE A LOOK FROM I3 FORUM DESCRIPTION OF PANTECH

 

Business Background ( From i3 Investor Forum)

 

Pantech Group Holdings Bhd is engaged in investment holding and provision of management services. The company has three operating segments: Trading; Manufacturing and Investment holding. It derives most of its revenues from the Trading segment. The Trading segment is engaged in trading, supply and stocking of high pressure seamless and specialized steel pipes, fittings, flanges, valves and other related products for use in the oil and gas. The Manufacturing segment is engaged in manufacturing and supply of butt-welded carbon steel fittings, stainless steel, and alloy pipes, fittings and related products, as well as milling, machining and welding of tube and pipe fitting. The Investment holding segment is engaged in investment holding, property investment and management service

 

SO ALL TECH HAS 3 MAJOR BUSINESSES

 

1. TRADING: Pantech started trading in oil & gas pipes for Oil and Gas Industries. It also trades in pipes for Oil Palm Industries

As of now it stocks over 30,000 types of products. Trading provides a margin. So with years of experience Pantech moves into Manufacturing Specialty pipes. this improved margins

 

2. MANUFACTURING: 

 The Manufacturing segment is engaged in manufacturing and supply of butt-welded carbon steel fittings, stainless steel, and alloy pipes, fittings and related products, as well as milling, machining and welding of tube and pipe fitting

 

3. PROPERTY INVESTMENT

 The Investment holding segment is engaged in investment holding, property investment and management service

 

YES THIS IS THE ULTIMATE GROWTH OF WEALTH

 

WHEN CHINESE FIRST ARRIVED ON MALAYSIAN SOIL THEY WORKED AS COOLIES OR IN RUBBER PLANTATION. THEN THEY MOVED UP TO BUY THEIR OWN RUBBER ESTATES. FINALLY WITH ACCUMULATED WEALTH THEY INVEST IN HARD ASSETS LIKE GOLD OR PRE WAR SHOP HOUSES IN MAJOR CITIES OF MALAYSIA AND ALL OTHER COUNTRIES THEY RESIDE

 

FROM HERE LET’S LOOK CLOSER AT PANTECH

 

AND THESE ARE THE SALIENT FACTORS

 

1) AT 53.5 SEN WITH NTA OF 78 SEN PANTECH IS SELLING AT A NICE 32% DISCOUNT TO NTA WHICH QUALIFIES BEN GRAHAM 30% MARGIN OF SAFETY. WE SHALL COME BACK TO SEE ITS NTA ASSETS LATER

 

2) LAST 4 QUARTER PROFITS

 

1.51 SEN

1.46

1.90

1.51

 

TOTAL 6.38 SEN

 

SO PANTECH HAS An earning growth  OF 11.9% OR P/E 8.38?

but that is not all

Pantech is also into PROPERTY INVESTMENT

and NTA has also grown quietly from 74 sen to 78 sen. SO there is a growth of another 4 sen

 

now add 4 sen to 6.38 = 10.38 sen

then the equation will be

Pantech Earnings Growth (EPS)  is 10.38 divides by 53.5 sen or 19.4%

And a P/E of 5.15

SO IN JUST 5 SHORT YEARS YOU CAN DOUBLE YOUR MONEY IN PANTECH!!

 

 

3) WHY IS PANTECH DOING SO WELL WHEN OTHER STEEL COMPANIES ARE SUFFERING LOSSES?

ANSWER

PANTECH IS INTO SPECIALTY O&G PIPES AND OIL PIPES FOR THE OIL PALM INDUSTRIES

IT IS IN A TOTALLY DIFFERENT INDUSTRY

LAST ROUND CALVIN PICKED FOCUS LUMBER FOR THE SAME REASON

FOCUS LUMBER IS NOT PRODUCING THE NORMAL PLYWOOD WITH RAZOR THIN PROFIT MARGIN

FOCUS LUMBER MAKES SPECIALTY PLYWOOD FOR THE HUGE AMERICAN RV (RECREATION VEHICLE MARKET)

PLEASE DON’T CHASE FOCUS LUMBER NOW AS ITS PRICE ALREADY UP BY 70% (ANOTHER OF CALVIN’S CHUN CHUN CALL?

SEE

 

THE INVESTMENT APPROACH OF CALVIN TAN

Author: calvintaneng   |   Latest post: Sun, 17 Feb 2019, 10:16 AM   |  >> Go to Blog Dashboard

I have An Investment Approach I which I would like to all.

The Business Model of Focus Lumber. Source Its Products From Lowest Cost & Sell to Highest Value USA, Calvin Tan Research

Author: calvintaneng   |    Publish date: 


Dear Friends of i3 Forum,

 

Today I want to talk about FOCUS LUMBER (5197)

 

What about FOCUS LUMBER?

 

FOCUS LUMBER was set up by the Taiwanese Experts in their Long Years of Experience with Lumber and especially Plywood.

They FOCUS on High Value ADDED PLYWOOD. These could generate exceptional profit margins of 20% to 25% unlike selling conventional plywood for a mere 5% to 6% profit. So FOCUS LUMBER sets itself apart from all normal Plywood Manufacturers.

 

FOCUS LUMBER WAS ABOUT RM1.05 WHEN I ISSUED BUY CALL

TODAY FOCUS LUMBER IS RM1.78 or UP almost 70% 

 

FOR THIS SAME REASON PANTECH IS ALSO MAKING HIGHER PROFIT THAN SELLING NORMAL PIPES

 

4) THE FORTUNES OF PANTECH WILL RISE MORE AS CRUDE OIL PRICE SURGE UPWARD

PANTECH SUPPLIES PIPES, VALVES & AL30,000 O&G ITEMS FOR ON SHORE AND OFF SHORE OIL ENTITIES

IT ALSO SUPPLY TO THE PETRONAS REFINERY IN RAPID

USA HAS TEMPORARY BANNED PANTECH PIPES IMPORT. THAT IS ALREADY FACTORED INTO THE SHARE PRICE OF PANTECH AT ALL TIME RECENT LOW

THE RISE OF RAPID HAS PREVENTED PANTECH FROM INCURRING LOSSES WHILE OTHER STEEL COMPANIES ARE BLEEDING

IN FACT PANTECH HAS EVEN MOVED ITS WAREHOUSE TO PENGERANG’S RAPID TO CATCH THE BOOMING BUSINESS THERE

 

5) PANTECH WAREHOUSE IN BOOMING PENGERANG

refer to ar

10 HS(M) 135, Lot LO129 (1433), Mukim Pantai Timor, District of Pengerang, Johor Darul Takzim

Lot LO129, Kampung Bukit Gelugur, 81600 Pengerang, Johor Darul Takzim

(127,617) Freehold A parcel of industrial land 1,800 – 31.12.2015

 

PANTECH BOUGHT A FREEHOLD 127,617 sq ft INDUSTRIAL LAND FOR RM1. 8 MILLIONS

THAT IS ONLY RM14.10 per sq ft

 

THIS IS ONLY ONE OF PANTECH 10 LISTED ASSETS. AND ALL THE ASSETS ARE INDUSTRIAL & MANY ARE WAREHOUSES. SO GOOD THAT NTA HAS APPRECIATED FROM 74 to 78 sen for a 4 sen gain in one year

See

 

3. PROPERTY INVESTMENT

 The Investment holding segment is engaged in investment holding, property investment and management service

 

Last time Calvin invested in SUPER ENTERPRIZE at Rm1.25. Super Enterprize also got 9 industrial lands. And Super powered up to Rm3.80 and was privatised for 200% upside

SO GOOD THAT PANTECH BOSSES HAVE BOUGHT THE RIGHT INDUSTRIAL LANDS & WAREHOUSES AND AVOIDED SHOPPING MALLS NOW HIT BADLY BY ECOMMERCE

 

6) SEEING VALUE PANTECH BOSSES & INSIDERS HAVE BOUGHT PANTECH AT MUCH HIGHER PRICES

 

 

after keeping their shares for 4 years and after 1 for 5 bonus issue their average cost is

67 x .8 = 53.6 sen

Whoa at today closing price of 53.5 sen we are still getting at slightly below their holding cost after 4 years?

Great!

Why Now Is the Most Opportune Time for Us to Buy Into Pantech

 

7) PANTECH HAS SECURED A PERPETUAL MAINTAINENCE CONTRACT FOR THE PETRONAS REFINERY IN RAPID

See Annual Report

TREND AND OUTLOOK

It is anticipated that the oil and gas industry will continue to recover in 2018 as mooted by various parties. At the time of writing, oil is trading at around the USD65 mark per barrel. This is a much better state than it was in the preceding financial year where it was fluctuating at USD50 per barrel. The decision by key oil producing nations to curb oil production in order to stabilise prices has borne fruit.

At home, the completion of the RAPID project stands at 87% and is on track to be fully operational by end-2019. A steam cracker plant, petrochemical complex, air separation unit (ASU) and Pengerang Deepwater 2 have yet to be completed while the raw water supply project (Pamer), Pengerang Cogeneration Plant and Regassification Terminal 2 (RGT2) are already operational.

Saudi Aramco has earlier in the year completed its RM27.44 billion investment into RAPID, and it has spurred prospects. Maintenance contracts of RAPID once completed will be a good avenue of income. As it stands, maintenance contributes about 40% to Pantech Group’s revenue from the oil and gas sector. Being in this industry, maintenance works are essentially perpetual as they are critical in ensuring safety and optimal operations.

 

Read very very very carefully these words again

 

(((maintenance works are essentially perpetual as they are critical in ensuring safety and optimal operations.)))

perpetual means for “forever” as long as RAPID REFINERY COMPLEX EXITS

24 HOURS A DAY 7 DAYS A WEEK PANTECH IS CONTRACTED TO KEEP TO THE SAFETY OF ALL THE PIPES AND VALVES OF THIS GIGANTIC COMPLEX!

THAT IS ASSURED LUCRATIVE INCOME IN PERPETUITY FOR PANTECH!!!

AND MORE! REFINERY WILL BE CLOSED FOR CERTAIN PERIOD FOR MAJOR MAINTAINENCE OVERHAUL & REPLACEMENT OF WORN OUT PARTS

HOORAY!! EVEN MORE BUSINESS FOR PANTECH!!

 

8) NOW PANTECH HAS A STOCK OF 30,000 OIL PIPES NOT ONLY FOR OIL & GAS  – THE PIPES ARE ALSO FOR THE PALM OIL INDUSTRIES: AS LONG AS OIL FLOWS THEY NEED PIPES FROM PANTECH!!

AND MALAYSIA & INDONESIA COMMAND 90% OF THE WORLD’S OIL PALM MARKETS

AMONG THE TOP CUSTOMERS OF PANTECH ARE ROBERT KUOK OF WILMAR AND FELDA IN MALAYSIA

 

9) PANTECH IS SO VERY VERY VERY IMPORTANT FOR O&G AND OIL PALM INDUSTRIES THAT AMONG TOP 30 HOLDERS OF PANTECH ARE FELDA & PETRONAS

 

SEE

coming in at top no 2 is

2. KOPERASI PERMODALAN FELDA MALAYSIA BERHAD 60,461,200 8.13%

FELDA IS ONE OF THE LARGEST PLANTATION HOLDINGS IN THE WORLD

FELDA OWNS 60.4 MILLIONS PANTECH SHARES AT 8.13%

 

coming in at top no. 26 is

26. CIMB GROUP NOMINEES (TEMPATAN) SDN BHD 4,000,000 0.54 EXEMPT AN FOR PETROLIAM NASIONAL BERHAD (AMUNDI MALAYSIA)

PETRONAS HAS 4 MILLION PANTECH SHARES

 

10. ONE OF TOP INVESTMENT SECRETS MY JOHOR NOTICED ABOUT GREAT SIFU WARREN BUFFET IS THIS

 

A) RULE NUMBER ONE IS – NEVER TO LOSE MONEY

B) RULE NUMBER TWO? TO REMEMBER RULE NUMBER ONE : THAT IS NEVER TO LOSE MONEY

C) RULE NUMBER THREE

WHERE GOT RULE NUMBER THREE?

YES THERE IS

RULE NUMBER THREE IS THIS

TO BUY A SHARE WITH A BOND NATURE

HE BOUGHT COCA COLA BECAUSE IT IS THE NUMBER ONE DRINK ON EARTH & GROWING

HE BOUGHT GILLETTE SHAVING BLADE BECAUSE OUT OF 7 BILLION PEOPLE ON EARTH 50% OR 3.5 BILLIONS ARE MEN WHO WILL WAKE UP IN NEED OF SHAVING HIS BEARD EVERY MORNING

I ONCE BOUGHT MTD INFRAR BECAUSE IT OWNED THE KL KARAK HIGHWAY TOLL BOOTH

ALL CARS PASSING FROM KUANTAN TO KL MUST PASS THROUGH AND PAY TOLL

IT WAS TAKEN PRIVATE BY MTD

SO THIS PANTECH WILL RIDE ON THE GROWTH AND BOOM OF RAPID FOR “FOREVER” 

 

BEST REGARDS

 

 

Calvin Tan Research

Singapore

 

Please buy or sell after doing your own due diligence

 

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